1/4 Thread: Past, Present, and Future While Investing
Investing is all about future. It's the future cash flows that the stock price is trying to incorporate.
That's investing 101.
But many people miss the *past* and the *present* have important place in investing. How?
Investing is all about future. It's the future cash flows that the stock price is trying to incorporate.
That's investing 101.
But many people miss the *past* and the *present* have important place in investing. How?
2/4 Here's why "Present" is important:
"Our job is not to see the future, it’s to see the present very clearly."- Matt Cohler, Benchmark Capital
"Our job is not to see the future, it’s to see the present very clearly."- Matt Cohler, Benchmark Capital
3/4 What about the past?
Google "Lindy Effect" if you don't know the term.
Plus I have one of my most favorite Bezos quotes on this topic.
Google "Lindy Effect" if you don't know the term.
Plus I have one of my most favorite Bezos quotes on this topic.
End/ You know what's the most harmful element in investing?
It is to have a false sense of belief that you have some edge on what's going to happen in the long-term.
Here's something to convince you on this point for life.
It's the most humbling one-page I have ever read.
It is to have a false sense of belief that you have some edge on what's going to happen in the long-term.
Here's something to convince you on this point for life.
It's the most humbling one-page I have ever read.
